Skip to content
Subscriber Only

HP Tumbles as Strategic Shift Leads to ‘Lost Confidence’

Hewlett-Packard Co. fell the most in more than 23 years after issuing forecasts that missed analysts’ estimates and unveiling a set of strategic shifts that undermined confidence in the company’s management.

Hewlett-Packard, based in Palo Alto, California, dropped $5.91, or 20 percent, to $23.60 at 4 p.m. on the New York Stock Exchange. The decline was the largest since October 19, 1987, the market crash known as Black Monday. The drop erased $16.2 billion from Hewlett-Packard’s market value since Aug. 17, the day before the company’s plans were made public.